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Business, 16.07.2019 02:10 Pordie

Suppose a company which sells breakfast cereal puts a coupon in each box of cereal that it sells during the month of december 2017. the coupon permits $1 off the purchase price of the next box of cereal. customers will present the coupons to grocery stores when they wish to redeem the coupons. the manufacturer will reimburse the grocery stores $1 for each coupon that the stores send to the manufacturer. the manufacturer sells 1,000,000 boxes of cereal in december of 2017. should the manufacturer accrue an expense in 2017 for the coupon promotion? why or why not?

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